Local residents' protests affect Caltex production activities

PT Caltex Pasific Indonesia (CPI) has suffered a production loss of about 15,000 to 30,000 barrels per day after the unemployed residents protested the company and hindered production activities in some of the oil giant's oil fields, Riau Post reported on Saturday.

The oil company's spokesman Poedyo Oetomo said in Pekanbaru on Friday that the angry protesters were still continuing, hindering working activities in some of the company's production units and taking over the company's 37 trucks.

He said that their action severely affected the production activities and caused a reduction in the daily production by 15,000 barrels and 30,000 barrels from the normal production level of 700,000 barrels per day.

"With the crude price of between US$33 and $38 at present, the protests have caused a financial loss of millions of dollars," he told reporters.

The protests started early this week when unemployed people living near Caltex's production unit got angry after being rejected to work in the company. They hindered the production activities and took over production facilities including tens of trucks. Poedya said that this was not the first time the unemployed people protested the company for not being given works. But the present protest was the largest one. He said that Caltex, which has become an integral part of the Riau community, has a strong commitment to employ local residents. "

"But our capacity is limited and the people should also understand our ability to provide the employment," he added. (*)